Environmental regulation as a determinant of trade: an empirical investigation of the "Pollution Haven Hypothesis" in the context of international trade

Master Thesis

2016

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http://hdl.handle.net/11427/20418
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thesis_com_2016_ellis_brown_rupert.pdf (818.65 KB)
Authors
Ellis Brown, Rupert
Supervisors
Edwards, Lawrence
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University of Cape Town

Department
School of Economics
Faculty
Faculty of Commerce
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Abstract
This paper applies an augmented version of the Heckscher-Ohlin-Vanek model to a broad cross section of countries for the period 2001 to 2011, providing evidence that a country's environmental regulatory regime has an influence on the energy content of trade. These results conform to predictions made under the "Pollution Haven Hypothesis" and the notion of "Carbon Leakage", reiterating the importance of incorporating these issues to some extent in the formulation of future trade and climate policy.
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Environmental Economics

Reference:

Ellis Brown, R. 2016. Environmental regulation as a determinant of trade: an empirical investigation of the "Pollution Haven Hypothesis" in the context of international trade. University of Cape Town.

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